Setting up a business in Spain is simple with PSI Consultants. The business models to choose from are similar with other European countries and a wide range of possibilities are available to people interested in investing and living in Spain.
There are different ways to set up a business in Spain. Choosing the right type of company to establish has to be thought carefully and this would depend on several conditions like the kind of activity, the size of the business and market to explore.
PSI Consultants will guide you in the entire process, advising you of the type of entity that your business needs and making the set up of business as simple and as fast as possible. Our prices are the most competitive guaranteeing that the final cost is adapted to the different needs of every client.
A self-employed person in Spain is known as an Autonomo. The set-up of an autonomo is the quickest and easiest way of opening and running a business.
If you would establish your own business and would manage it yourself, then this is the most appropriate type of company for you. To set-up an Autonomo, we would need a copy of your passport, an NIE number and a bank account number.
PSI Consultants would then need to register you with the local tax office and at the same time will register you for I.V.A. (VAT). Thereafter, we will activate your status as self employed with the Social Security. This can only be done once you are registered with the Social Security. In addition, we can be of help with registering any other workers you may have with the social security office and the preparation of the business permit "licencia de Apertura" if you have an office/business premise.
Lastly, please be informed that currently, one has to pay a monthly Social Security contribution in Spain and the current minimum rate is approximately 249 Euros per month. This payment will be debited automatically from your bank account each month.
A Joint Ownership Company (Comunidad de Bienes) is the cheapest way to set up a business between 2 or more co-owners.
It is necessary to sign a private contract between all the partners. The contract should state the kind of activity to partake and the shares each partners own in the business.
Limited Company (S.L)
The main advantage of a Limited Company is that the liability of the shareholders of an S.L. company is applied only for the debts of the company and limited to the goods and capital that the company owns, and not to the personal capital of the company's owners.
The Limited Liability Company is the most adequate type of setting up a small or medium sized business. The minimum capital requirement is only 3,005.06 euros (and to set up a bigger corporation, S.A., the minimum capital needed is 60.101,21 euros) which has to be deposited in full amount in a bank account under the name of the new firm in order to set up the company. Capital stock must be divided into participating units so that shareholders may carry different voting weight depending on their participation in the company capital.
Guide, The Legal Steps
The basic requirements for forming a corporation are as follows:
- Issuance by the Spanish Central Mercantile Register of a certificate of clearance for use of the name of the new company. We normally would request three names from the client and this step should precede all others, so as to have an assurance that the proposed name can in fact be used. Once the name has been approved, we can then proceed with the incorporation of the company.
-Open up a bank account number in behalf of the company and deposit a minimum of 3,006.00 euros (Company capital)
- Execution of the notarized public deed of incorporation. The incorporators have to go to a designated Notary for this purpose. PSI Consultants would advise the client on all the papers required at the Notary and would do all preparations needed for the Notary.
- Soon after the Notary signing of the corporation, we would then apply for the assignment of a tax identification number to the new company. This is called the CIF number. This is a necessary step for the payment of transfer tax (see below) and the registration of the company in the Mercantile Register.